In commerce, supply chain management (SCM) is the management of the flow of goods and services including all processes that transform raw materials into final products between businesses and locations. This can include the movement and storage of raw materials, work-in-process inventory, finished goods, and end to end order fulfilment from the point of origin to the point of consumption. Interconnected, interrelated or interlinked networks, channels and node businesses combine in the provision of products and services required by end customers in a supply chain.
In commerce, a supply chain is a network of facilities that procure raw materials, transform them into intermediate goods and then final products to customers through a distribution system. It refers to the network of organizations, people, activities, information, and resources involved in delivering a product or service to a consumer. Supply chain activities involve the transformation of natural resources, raw materials, and components into a finished product and delivering the same to the end customer. In sophisticated supply chain systems, used products may re-enter the supply chain at any point where residual value is recyclable. Supply chains link value chains. Suppliers in a supply chain are often ranked by "tier", with first-tier suppliers supplying directly to the client, second-tier suppliers supplying to the first tier, and so on.
Lean manufacturing is a production method aimed primarily at reducing times within the production system as well as response times from suppliers and to customers. It is closely related to another concept called just-in-time manufacturing. Just-in-time manufacturing tries to match production to demand by only supplying goods which have been ordered and focuses on efficiency, productivity and reduction of "wastes" for the producer and supplier of goods. Lean manufacturing adopts the just-in-time approach and additionally focuses on reducing cycle, flow and throughput times by further eliminating activities which do not add any value for the customer. Lean manufacturing also involves people who work outside of the manufacturing process, such as in marketing and customer service.
APICS, currently known as the Association for Supply Chain Management is a not-for-profit international education organization offering certification programs, training tools, and networking opportunities to increase workplace performance. Formed in 1957, the mission of the organization is to advance end-to-end supply chain management. APICS merged with the Supply-Chain Council in 2014, and the American Society of Transportation and Logistics in 2015.
The beer distribution game is an educational game that is used to experience typical coordination problems of a supply chain process. It reflects a role-play simulation where several participants play with each other. The game represents a supply chain with a non-coordinated process where problems arise due to lack of information sharing. This game outlines the importance of information sharing, supply chain management and collaboration throughout a supply chain process. Due to lack of information, suppliers, manufacturers, sales people and customers often have an incomplete understanding of what the real demand of an order is. The most interesting part of the game is that each group has no control over another part of the supply chain. Therefore, each group has only significant control over their own part of the supply chain. Each group can highly influence the entire supply chain by ordering too much or too little which can lead to a bullwhip effect. Therefore, the order taking of a group also highly depends on decisions of the other groups.
Agile manufacturing is a term applied to an organization that has created the processes, tools, and training to enable it to respond quickly to customer needs and market changes while still controlling costs and quality. It's mostly related to lean manufacturing.
Lean, leaning or LEAN may refer to:
A supply network is a pattern of temporal and spatial processes carried out at facility nodes and over distribution links, which adds value for customers through the manufacturing and delivery of products. It comprises the general state of business affairs in which all kinds of material are transformed and moved between various value-added points to maximize the value added for customers. In the semiconductor industry, for example, work-in-process moves from fabrication to assembly, and then to the test house. The term "supply network" refers to the high-tech phenomenon of contract manufacturing where the brand owner does not touch the product. Instead, she coordinates with contract manufacturers and component suppliers who ship components to the brand owner. This business practice requires the brand owner to stay in touch with multiple parties or "network" at once.
The term demand chain has been used in a business and management context as contrasting terminology alongside, or in place of, "supply chain". Madhani suggests that the demand chain "comprises all the demand processes necessary to understand, create, and stimulate customer demand". Cranfield School of Management academic Martin Christopher has suggested that "ideally the supply chain should become a demand chain", explaining that ideally all product logistics and processing should occur "in response to a known customer requirement".
Demand-chain management (DCM) is the management of relationships between suppliers and customers to deliver the best value to the customer at the least cost to the demand chain as a whole. Demand-chain management is similar to supply-chain management but with special regard to the customers.
The following outline is provided as an overview of and topical guide to manufacturing:
Lean construction is a combination of operational research and practical development in design and construction with an adoption of lean manufacturing principles and practices to the end-to-end design and construction process. Unlike manufacturing, construction is a project-based production process. Lean Construction is concerned with the alignment and holistic pursuit of concurrent and continuous improvements in all dimensions of the built and natural environment: design, construction, activation, maintenance, salvaging, and recycling. This approach tries to manage and improve construction processes with minimum cost and maximum value by considering customer needs.
Supply-chain-management software (SCMS) is the software tools or modules used in executing supply chain transactions, managing supplier relationships and controlling associated business processes. Supply chain management maximizes the efficiency of business activities that include planning and management of the entire supply chain. It helps businesses in product development, sourcing, production, and logistics by automating operations. In this way, it increases the physical flow of business as well as informative flow. The entire business benefits with higher performance, greater cost-efficiency, and thus increased supply chain efficiency.
Glenn Parry is a professor in Digital Transformation at University of Surrey and was formally Professor of strategy and operations management at Bristol Business School, UWE. and senior visiting fellow with the University of Bath, UK. He authored and edited the textbook titled Service Design and Delivery published by Springer.
Management accounting in supply chains is part of the supply chain management concept. This necessitates planning, monitoring, management and information about logistics and manufacturing processes throughout the value chain. The goal of management accounting in supply chains is optimizing these processes. This strategy focuses on supporting management.
Retail back-office software is used to manage business operations that are not related to direct sales efforts and interfaces that are not seen by consumers. Typically, the business processes managed with back-office software include some combination of inventory control, price book management, manufacturing, and supply chain management (SCM). Back-office software is distinct from front-office software, which typically refers to customer relationship management (CRM) software used for managing sales, marketing, and other customer-centric activities.
Project production management (PPM) is the application of operations management to the delivery of capital projects. The PPM framework is based on a project as a production system view, in which a project transforms inputs into outputs.
Dr. Erick Christopher Jones Sr. is an industrial engineer and professor in the Department of Industrial, Manufacturing, and Systems Engineering at the University of Texas at Arlington. He is an expert in radio-frequency identification (RFID), quality engineering, and Lean Six Sigma. He is the George and Elizabeth Pickett Endowed Professor, as well as Associate Dean for Graduate Studies in the College of Engineering at the University of Texas at Arlington (UTA). Jones joined UTA in 2010 after eight years at the University of Nebraska – Lincoln, where he rose to the rank of Associate Professor with tenure. He previously served as the deputy director of the UT Arlington's homeland security focused University Center Security Advances via Applied Nanotechnology (SAVANT) Center and he serves as the current director of the Radio Frequency & Auto Identification (RAID) labs at UTA. Jones was the program director of The National Science Foundation's (NSF) Engineering Research Centers. He is currently Chair of the Supply Chain Technology Committee of International Supply Chain Education Alliance's (ISCEA) International Standards Board (IISB) and Editor in Chief of the International Supply Chain Technology Journal (ISCTJ).
The International Supply Chain Education Alliance (ISCEA) is a supply chain professionals certifying body best known for becoming the first organization validating the knowledge of supply chain managers around the world and providing them with the CSCM designation. Founded in 2003 and currently holding over 100,000 members, ISCEA has its World HQ office in Beachwood, OH, USA and regional offices in LATAM, EMEA and APAC. ISCEA's mission is to provide supply chain knowledge to manufacturing and service industry professionals worldwide through Education, Certification and Recognition. ISCEA is the governing body for the Ptak Prize.
Supply chain resilience is "the adaptive capability of the supply chain to prepare for unexpected events, respond to disruptions, and recover from them by maintaining continuity of operations at the desired level of connectedness and control over structure and function".
